LEGISLATIVE SERVICES AGENCY OFFICE OF FISCAL AND MANAGEMENT ANALYSIS FISCAL IMPACT STATEMENT LS 6703 NOTE PREPARED: Feb 13, 2025 BILL NUMBER: SB 197 BILL AMENDED: Feb 13, 2025 SUBJECT: Unsafe Building Law. FIRST AUTHOR: Sen. Freeman BILL STATUS: CR Adopted - 1 st House FIRST SPONSOR: FUNDS AFFECTED:GENERAL IMPACT: Local DEDICATED FEDERAL Summary of Legislation: (Amended) This bill requires that the instructions for requesting a hearing on an order relating to an unsafe premises: (1) be printed in at least 12 point font; and (2) be placed in a conspicuous location on the order. It provides that a person has 90 days (instead of 10 days) to request a hearing on an order. The bill provides that if a property is purchased by an unrelated third party, the civil penalties assessed before the purchase remain the responsibility of the seller. The bill provides that a civil penalty: (1) may not be included on a property tax statement; (2) is a lien on the property; and (3) may be waived under specified circumstances. Effective Date: July 1, 2025. Explanation of State Expenditures: Explanation of State Revenues: Explanation of Local Expenditures: (Revised) This bill’s provisions should not have any significant impact on the administrative workload for hearing authorities since it increases the number of days that a person has to request a hearing on an order pertaining to unsafe premises from the current 10 days to 90 days (after notice has been given). Explanation of Local Revenues: (Revised) This bill’s provisions may result in a minor decrease in revenue generated from civil penalties imposed by the hearing authority related to properties that are in violation of a county or municipality’s unsafe building law. Under this bill, the civil penalty (or penalties) would be waived if the property is sold to a nonrelated third party and the purchaser decides to make the necessary improvements to the property. Additionally, the hearing authority may waive the civil penalty (or penalties) if the person to whom the order was issued brings the property into compliance with the order. SB 197 1 Any civil penalty assessed by the enforcement authority under this bill’s provision will be treated as a lien on the property. State Agencies Affected: Local Agencies Affected: Enforcement and hearing authorities assigned with administering unsafe building laws in counties and municipalities. Information Sources: Fiscal Analyst: James Johnson, 317-232-9869. SB 197 2